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A BILL TO BE ENTITLED
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AN ACT
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relating to deduction of qualified health insurance premiums of |
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eligible retired public safety officers from Teacher Retirement |
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System of Texas annuities. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. New Section 824.207, Government Code, is added |
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to read as follows: |
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Sec. 824.207. DEDUCTIONS FROM SERVICE OR DISABILITY |
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RETIREMENT ANNUITY. (a) An individual eligible to participate in |
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the uniform program under Section 1601.102 may authorize the |
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Teacher Retirement System of Texas (TRS) to deduct the amount of the |
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contribution and any other qualified health insurance premium from |
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the person's regular monthly service or disability retirement |
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annuity payment if the individual meets the following requirements: |
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(1) is eligible to receive a monthly annuity from TRS |
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in an amount in excess of the total authorized deduction amount, and |
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(2) is eligible under Section 845 of the Pension |
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Protection Act of 2006 (PL 109-280) or a similar law to elect to |
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exclude from annual gross income up to $3,000 of distributions from |
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an eligible retirement plan used for qualified health insurance |
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premiums. |
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(b) An individual may authorize the deduction described in |
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Subsection (a) on a form provided by the program administrator. The |
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program administrator shall coordinate with TRS to implement an |
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authorization provided under Subsection (a). After making the |
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deductions, TRS shall pay to the program administrator an aggregate |
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amount for all individuals who authorized annuity deductions under |
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Subsection (a). TRS shall inform the program administrator if an |
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individual is no longer receiving a monthly annuity in an amount in |
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excess of the total authorized deduction amount, and TRS shall not |
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be required to make the deduction in whole or in part for the |
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individual. TRS may discontinue the opportunity for such |
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deductions if payment of qualified health insurance premiums by |
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deduction from a retirement plan annuity is no longer required for |
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an eligible retiree to elect the gross income exclusion. |
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SECTION 2. This Act takes effect September 1, 2009. |